India is on the brink of a transformative shift in its energy landscape. As rapid urbanization, industrial growth, and a soaring population drive up energy demand, the need for sustainable and scalable power sources has never been more urgent.
Among the most promising solutions is biogas, a renewable energy source derived from organic waste such as agricultural residues, municipal refuse, and animal manure. Beyond addressing the nation’s energy needs, biogas offers significant environmental advantages and economic upliftment, especially in rural areas.
With growing investor interest and supportive policy frameworks, India’s biogas sector is gaining momentum. Yet, navigating this evolving market requires a clear understanding of both its immense potential and its inherent challenges. In this blog, we will dive into the opportunities within India’s biogas industry, the policies driving its expansion, and how global experts can play a huge role in accelerating India’s journey toward energy resilience and sustainability.
India’s biogas industry is catching up with the pace, driven by favourable government initiatives like the SATAT scheme and the country’s expansive organic waste resources, from agricultural residues to urban and livestock waste.
With a growing focus on biogas upgrades for cleaner energy applications, the market, valued at around USD 1.6 billion in 2024, is estimated to double by 2032.
As demand rises across heating, electricity, and transportation sectors, India is scaling up rapidly with over 5 million small-scale plants, 120+ operational CBG units, and hundreds more under development.
India’s biogas potential is driven by its rich and varied feedstock sources, including crop residues, sugar industry byproducts, urban organic waste, and livestock manure.
With the right utilization, this resource pool could produce more than 60 MMT of bioCNG annually, far surpassing the current output of 3.2 billion cubic meters.
Because feedstock availability varies across regions, certain Indian states have emerged as key biogas hubs. Punjab and Haryana lead in straw-based digesters, Uttar Pradesh stands out for sugarcane waste, while Gujarat, Rajasthan, and Maharashtra dominate in dairy-based biogas production.
While cities like Bengaluru, Pune, and Delhi leverage abundant organic waste for municipal projects.
India’s government has introduced various policies and incentives that support biogas, reflecting its commitment to alternative energy.
Altogether, these measures lower entry barriers for private companies and investors, while helping to mitigate the typical risks associated with launching new projects.
India’s clean energy future is steadily unfolding, with biogas playing a central role. By harnessing its vast organic waste resources and adopting region-specific approaches, the country is building a sustainable, low-emission energy framework. Backed by supportive policies and growing private investment, the biogas sector is expanding rapidly.
Core technologies like H₂S scrubbers play a crucial role in biogas upgradation, ensuring cleaner, high-quality bioCNG. Building strong biogas infrastructure and purification systems will be important to long-term success as India advances.
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